Govt sets sights on US gas

Thailand plans to buy an additional 1 million tonnes of liquefied natural gas (LNG) worth US$500 million (about 16.6 billion baht) from the United States over the next five years as part of efforts to ease the trade imbalance that led Washington to impose a high tariff on Thai exports.

- WICHIT CHANTANUSORNSIRI

The move comes ahead of negotiations with the US over the tariff hike next week.

Deputy Prime Minister and Finance Minister Pichai Chunhavajira yesterday met representatives from the national oil and gas conglomerate, PTT Plc, to discuss measures to deal with the US' 36% reciprocal tariff on Thai goods.

He said PTT plans to buy 1 million tonnes of LNG from the US next year, which should help ease its concerns.

He added that contracts to purchase LNG from other countries will expire over the next five years so PTT also plans to buy an additional 1 million tonnes of LNG per year from the US.

More LNG will also be purchased from the US and exported to neighbouring countries, Mr Pichai said, adding PTT will have to invest in building more storage facilities to accommodate additional LNG imports.